18:33 - ISS

Key Figures
IFRS Danish GAAP
Amounts in DKK millions (unless otherwise stated) 2006 2005 2004 2004 2003 2002
Revenue 55,772 46,440 40,355 40,355 36,165 37,984
Operating profit before other items 3,244 2,650 2,260 2,279 2,032 2,010
EBITDA 1) 3,774 2,955 2,698 2,827 2,544 2,618
Adjusted EBITDA 1), 2) 3,989 3,309 2,877 2,896 2,619 2,613
Operating profit 3) 3,029 2,296 2,081 2,210 1,957 2,015
Net finance costs (1,179) (521) (335) (343) (265) (361)
Profit before impairment/amortisation of intangibles 1,144 1,281 1,225 1,308 1,179 1,115
Net profit for the year 3), 4) 911 948 837 150 316 264
Investments in property, plant and equipment, gross 867 625 622 622 499 579
Cash flow from operating activities 5) Investments in intangible assets, property,
3,084 1,598 2,272 2,313 2,559 2,598
plant and equipment, net (843) (549) (583) (583) (403) (525)
Free cash flow 1) 2,241 1,049 1,689 1,730 2,156 2,073
Total assets 39,124 31,865 30,805 29,676 23,385 22,412
Goodwill 20,030 16,592 15,384 15,494 12,465 12,669
Carrying amount of net debt 1) 19,863 15,905 7,462 7,462 4,785 5,604
Non-interest-bearing debt, net 1) 232 443 238 238 (10) -
Interest-bearing debt, net 1) 19,631 15,462 7,224 7,224 4,795 5,604
Total equity 4) 1,948 2,285 8,822 8,436 7,741 7,419
Financial ratios 1)
Operating margin before other items, % 5.8 5.7 5.6 5.6 5.6 5.3
Interest coverage 3.4 6.3 8.6 8.4 9.9 7.2
Cash conversion, % 6) 87 103 111 107 150 167
Employees on full-time, % 66 61 57 57 55 53
Number of employees 391,400 310,800 273,500 273,500 245,000 248,500
Growth
Organic growth, % 5.5 3 1.5 1.5 (2) 1
Acquisitions, net, % 15 11 11 11 (0) 8
Currency adjustments, % - 1 (0) (0) (3) 0
Total revenue, % 20 15 12 12 (5) 9
Operating profit before other items, % 22 17 12 12 1 23
Note: Except for the key figures derived from the consolidated financial statements on pages 91-151 of this report, the key figures above are not measures of financial performance
under Danish GAAP or IFRS. ISS includes these financial measures because it believes that they are appropriate measures of ISS’s financial performance. Other companies, including
those in ISS’s industry, may calculate similarly titled financial measures differently. The applied accounting policies are described in note 1, Significant accounting policies in the
consolidated financial statements.
1) See page 175 for definitions.
2) Adjusted EBITDA, as calculated by ISS, represents, under Danish GAAP, Operating profit before other income and expenses and associates plus Depreciation and amortisation
or, under IFRS, Operating profit before other items plus Depreciation and amortisation. By using Operating profit before other income and expenses and associates under Danish
GAAP, or Operating profit before other items under IFRS, as a starting point for the calculation of adjusted EBITDA instead of Operating profit, ISS excludes from the calculation
of adjusted EBITDA integration costs relating to acquisitions and those items recorded under Other income and expenses, net, in which ISS includes income and expenses that it
believes do not form part of ISS’s normal ordinary operations, such as gains and losses arising from divestments, the winding up of operations, disposals of property, restructuring
and certain acquisition related costs. Some of the items that ISS records under the line item Other income and expenses, net, are recurring and some are non-recurring in nature.
3) The difference in operating profit in 2004 under Danish GAAP and IFRS primarily relates to inclusion of integration costs under IFRS. The difference in net profit under Danish GAAP
and IFRS primarily relates to reversal of goodwill amortisation, net of goodwill impairment and write-down, amortisation of customer contract portfolios and related customer
relationships and inclusion of integration costs.
4) Including minority interests.
5) The presentation of interest paid has been changed and is now included in cash flow from finance activities instead of cash flow from operating activities. Comparative figures have
been restated accordingly.
6) In 2006, cash conversion was adjusted for the gain of DKK 108 million on the sale of a call option on property. In 2005, cash conversion was adjusted for the gain of DKK 237 million
on the sale of ISS Health Care. In 2003, cash conversion was adjusted for the cash inflow from tax repayment of DKK 168 million related to employee share issues. In 2002, cash
conversion was adjusted for the after-tax gain of DKK 74 million on the sale of Sophus Berendsen shares.